BigBear, welcome to the forum, but please do not post same question in two discussion threads/categories. It makes it difficult for the users to have a cohesive thread to allow full discussion and keeps everyone from seeing the full set of responses/answers. Have fun picking a flight controller and any aircraft you build with it!

BigBear, welcome to the forum, but please do not post same question in two discussion threads/categories. It makes it difficult for the users to have a cohesive thread to allow full discussion and keeps everyone from seeing the full set of responses/answers. Have fun picking a flight controller and any aircraft you build with it!

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Sorry that was my mistake. I didnt first notice DJI Naza subforum. Moderators should delete the other thread what I started.

Thank you for precise information about different Naza M versions. Do they have same hardware and how they compare in flying and hovering? I am planning to buy flamewheel 550 frame with Naza V2 or Lite

Out of the box, Naza V1 has an integrated Power Management Unit, and LED. And though it does have a GPS port, it isn't a true CAN port, thus it does not support the DJI iOSD (On-Screen Display) unit.

The Naza V2 was redesigned to be a bit more like the Wookong and has a separate PMU and LED units. The new PMU has a CAN port which can then be connected to the DJI iOSD. I also understand the the LED unit will be able to be swapped out with a Bluetooth LED in the future which give the user some remote configuration capabilities (again, similar to the Wookong).

The Naza V1 can be upgraded to the new PMU and LED, which then basically makes it a V2 thus supporting the iOSD. At this time both V1 and V2 units support that same software as well.

Naza Lite does not support octo configurations which the V1 and V2 do, but does support the other 6 multirotor configurations (4 and 6 prop variants). It does not support the new PMU and LED, so it's basically the old V1 in that regard, but without the ability to be upgraded. The Naza Lite also has gimbal control and remote gain tuning, Man/Att/GPS modes, and IOC controls.

No worries.
The hardware (i.e. ports in and out of the Naza) will be a little different because of the external hardware it is intended to support; but more importantly, the flying and performance is the same from everything I have read, so no worries there.
If you expect to do any somewhat serious video work, I would go with the V2. I forgot to mention, but to use the new Zenmuse gimbal for the GoPro camera, you can't use the Lite version. So for you, the big differences would be: 1) support for DJI On-Screen Display, and 2) support for new Zenmuse GoPro gimbal. Neither of these are needs for a recreational pilot; but if you want to grow into some good video capabilities, you should consider the V2.

I have eagletree datalogger what I could use with eagletree OSD to have same onscreen options like DJI OSD. Can I use third party gimbal with external gimbal control with Lite version? (I dont know why not because its external component)

Basic question is that how sensors and flight algorithms are different in Lite vs V2.

My understanding from reading the DJI information on their website:
1) Yes, you can run other 3rd party gimbal on the Lite and has the same outputs (pitch and roll) for that as the V1 and V2.
2) The sensor and flight control algorithms are the same between all three Naza models.

I,m putting together a Phantom from stock DJI parts. The internal workings of the Phantom I am building is the same as a factory model.I have yet to get a Naza for it. What I,d like to know is which "Naza" to put in it and how once I have done so,program it properly. Thanks for any advice.

BurntPixel... See my comments above, but if you plan to use DJI's OSD and/or Zenmuse gimbal on it, then you'll need to go with V1 or V2. Otherwise, you can go with the Lite version and use 3rd party OSD and gimbal.
As for "programming" it, don't know exactly what you mean, but I would start by running the Assistant Software on your original Phantom you have, and page by page write down the settings from the one. Then using the Assistant Software on the new Naza/Phantom, configure it just like the original.